ProMarine AG, the Investment Advisor leading the financing of the maritime energy transition, announced the launch of an industry-first sustainable shipping fund with an initial portfolio of four methanol-fuelled MR tankers led by Proman, one of the world’s largest methanol producers, and Stena Bulk AB, an internationally recognised and leading European shipping company.
Low Emission Methanol Shipping Company S.C.A. SICAV–RAIF (“LEMSCO”) is the result of a collaboration between Proman and Stena Bulk. The Fund is backed by equity investors and benefits from a green loan from ABN AMRO. LEMSCO’s seed assets consist of four methanol fuelled vessels acquired from Proman and Stena Bulk.
LEMSCO will also benefit from a dedicated methanol supply contract from Proman, ensuring that the fleet’s operations are not only cost-effective but also powered by a technology-proven and globally available low-emission alternative fuel.
Welcoming the announcement, David Cassidy, Chairman of the ProMarine Board and Chief Executive of Proman, said: “We are delighted to be launching LEMSCO, which is pioneering in its efforts to address the air pollution and wider environmental concerns surrounding the maritime industry. We all recognise that the transition to sustainable shipping requires significant capital investment. By providing an alternative financing mechanism, LEMSCO plays a crucial role in bridging this gap and facilitating the industry’s transition to lower emission fuels.”
He added, “We are grateful to our partners and to ABN AMRO for their important early support. LEMSCO demonstrates the market’s readiness to offer practical financial incentives through reduced cost funding for ships fuelled by low-emission methanol, and can be the catalyst for further investments into sustainable shipping.”
Erik Hånell, Board Member of ProMarine and President & CEO at Stena Bulk AB, shared his enthusiasm for this ground-breaking initiative, stating: “The launch of LEMSCO is a pivotal moment, showcasing the maritime industry’s commitment to a sustainable future. Through strategic collaboration and innovative green financing, we are shaping a new era of maritime operations, prioritising low-emission methanol as a viable alternative fuel. LEMSCO represents a step towards meaningful change, enabling investors to support a greener, more sustainable shipping industry. Together, we are charting a course towards cleaner oceans and a more responsible shipping industry”.
As the maritime sector makes strides towards a sustainable future, LEMSCO is in a favourable position to provide the requisite financing for the green maritime transition. LEMSCO will invest in shipping and associated infrastructure with the aim of reducing emissions from the global maritime sector – which are currently responsible for 3% of global GHG emissions, providing investors with an opportunity to invest directly in the energy transition of the shipping industry.
